Step-by-Step Guide to Organizing Your Financial Documents
Even though we are in the Digital Age, paper remains a constant in our lives. While junk emails have replaced junk snail mail (trees happy, inboxes…not so much), one of the major paper generators of all is personal finances. Last summer my husband and I sold and then bought a home—the amount of paper those two transactions took was mind-boggling. We all have bank records, loans, credit cards, and utilities…and that is just the beginning. So much of our money-related information enters our homes as paper! Organizing paperwork can definitely be overwhelming. Let these guidelines help you get your financial documents in order.
Review what documents you have.
Before you can organize your documents, go through them and see what you have. Organize them into categories, such as To File, To Shred, To Read, To Pay, and Needs Action. You may discover unpaid bills, receipts for tax deductions, and all sorts of other paperwork you didn’t realize was in that big stack. If you’re uncertain about what to keep and what to shred, refer to our thorough guide on paper retention.